Up to level 14, some character classes "count as" being lower than their actual level. That means the opposition they face isn't as tough, and that the enemies the character fights give a better XP reward. Prestige classes don't get any of these benefits, but sorcerers do. So, at 4 levels of sorcerer you counted as being lower level than your 2/2 combination did, making the goblin "count as" a more difficult foe, and resulting in a greater reward.
The XP penalty works differently from this.
It applies whenever you have 2 or more classes which are more than 1 level apart from the other(s), and constitutes a 20% XP reduction.
Exceptions are made though. Prestige classes don't count towards the penalty. A race's favourite class doesn't either.
So an elven (favoured wizard) wizard/fighter/arcane archer wouldn't count wizard levels, nor AA levels, making him a pure fighter for purposes of the penalty check. He'd be fine.
An elven sorcerer/fighter though, would suffer the penalties unless levelling in both classes evenly (4/3 is fine, 3/4 is too, so is 4/4, but not 5/3 or 3/5).
For humans and half elves, the determination of the race's favourite class is a little different; the clas with the highest level doesn't count instead. That means that no matter what, they won't ever risk getting a penalty unless they have at least 3 classes, and none of them are prestige classes. So a 9/9/8 fighter/wizard/rogue wouldn't suffer penalties (9/8 is within the range), nor would a 10/9/8 (or 9/10/8), because the lower two classes are only 1 apart. The 10/10/8 would again though (10/8 is outside the range).
For the Wizard/Monk/PM combination, you'd want an elf or a gnome. For the other arcane classes (sorcerer or bard), it depends. If you take most your levels in Palemaster, it doesn't matter. Otherwise, Human and Half Elf would be best.
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